THOUSANDS of pounds stolen from an elderly man by a care worker has been paid back in full after his family pursued a council for the cash.

Even though the thief worked for a private company sub-contracted by North Yorkshire County Council, a watchdog ruled it was the local authority that was ultimately responsible for her actions.

Lydia Joy Chamberlain stole around £5,500 from the 86-year-old Alzheimer’s sufferer while she was visiting him in his own home in Great Ayton in 2015.

Although Chamberlain was later convicted in court of theft, the family were unable to retrieve any of the money – until a ruling by the Local Government Ombudsman, which ordered the county council to refund the stolen cash.

The ombudsman ruled the financial abuse had happened while Chamberlain was providing care on behalf of the council.

A statement said: “When a council commissions services to be provided on its behalf, it retains ultimate responsibility for the provision for those services.

"This includes responsibility for the actions of the staff providing services on its behalf via a commissioned care provider.”

The elderly man's family had initially obtained evidence of the thefts in 2013. They found his bank withdrawals had increased by around £5,500 compared to the previous year – but he did not appear to be spending the money.

They set up cameras by the man’s jacket, where he kept his money, which recorded footage of Chamberlain taking out his wallet, removing something and placing it in her pocket, or down her trousers.

Police were informed and Chamberlain, 27, from Middlesbrough, was arrested and interviewed.

She denied taking the money, but a jury at Durham Crown Court found her guilty of two counts of theft in November 2015.

She was given a two-year prison sentence and proceeds of crime proceedings were started in an attempt to confiscate the money from Chamberlain.

But the man’s family were unable to get their relative’s money refunded to him.

Family member Tracey Kennedy said she decided to fight for the return of the cash after receiving a bill for £432 from North Yorkshire County Council, who said it was for unpaid care of the elderly man.

Ms Kennedy said the bill had been disputed by her mother, who had taken on responsibility for the man's finances.

When her mother died, the local authority then began to pursue Ms Kennedy for the money.

The bill was eventually quashed, but Ms Kennedy said she was so incensed she pursued the council for the outstanding £5,500 – which her elderly relative has now received in full, along with an additional £200.

Ms Kennedy said it was important for people to realise that councils are still responsible for standards of sub-contracted care.

“It’s the fact that people need to understand that local authorities are contracting services out all the time, but they don’t lose responsibility for them,” she said.

“North Yorkshire County Council put the contract in place for his care. It’s bad that they pointed the finger at everybody but themselves.”

The victim of the theft, who remains unaware of the crime, is now being cared for in a care home. The Northern Echo has agreed with his family not to identify him.

A spokesperson for the council said; "North Yorkshire County Council accepts the Local Government Ombudsman’s findings that the council was ultimately responsible for resolving complaints about the care workers providing care, including when these are commissioned by the county council and delivered on its behalf. 

"The county council had attempted to resolve the situation with the provider on Ms Kennedy’s behalf but, unfortunately, resolution couldn’t be reached.

"The county council considers each case based on the individual circumstances.

"In a case like this, it takes into account the care provider’s contractual obligations with the council, including the provision of appropriate training, supervision and staff competence and robust procedures."